While HOAs have the authority to regulate certain aspects of community living, their power to restrict rentals is not absolute.
For homeowners trying to understand rental restrictions imposed by an HOA, it can be helpful to review the governing documents and applicable California law, including the Davis-Stirling Common Interest Development Act.

Common HOA Rental Rules and Restrictions

HOAs regulate rental properties through their governing documents, including the Covenants, Conditions, and Restrictions (CC&Rs) and bylaws. The most common HOA rental rules include:
Caps on Rental Units: Some HOAs limit the number of homes that can be rented at one time.
Short-Term Rental Bans: Many associations prohibit rentals of fewer than 30 days, restricting homeowners from using platforms like Airbnb or VRBO.
Lease Term Minimums: HOAs may require that all leases last at least six months or a year to discourage transient tenants.
Tenant Approval Requirements: Some HOAs require certain rental-related information or documentation before a rental begins. Any screening or approval process should be consistent with fair housing laws and the association’s governing documents.
Occupancy and Use Restrictions: Homeowners may face limits on the number of occupants in a rental or be restricted from leasing their home for business use, depending on the governing documents and applicable law.
If an HOA enforces rental restrictions that a homeowner believes are unclear, unfairly applied, or inconsistent with the governing documents or California law, the homeowner may want to seek information about available dispute-resolution options.

The Role of the HOA Board of Directors in Rental Restrictions

The board of directors of an HOA is responsible for enforcing community rules and overseeing any enforcement action against homeowners who violate association rules. However, board members do not have unchecked authority.
Legal Compliance: The board of directors must follow California law and the HOA’s governing documents when implementing and enforcing rental restrictions.
Homeowner Votes: Some changes—particularly amendments to CC&Rs—typically require approval by the membership under the procedures in the governing documents and applicable law.
Enforcement Limitations: Associations generally should avoid rules that are enforced selectively or in a manner that is inconsistent with governing documents, state law, or applicable fair housing requirements.

Legal Challenges to HOA Rental Restrictions

Not all association rules regarding rentals are enforceable. In many cases, questions arise about restrictions that:
Were improperly adopted: If the HOA did not follow required procedural steps in the governing documents or under California law, the restriction may be subject to challenge.
Conflict with State Law: In California, HOAs must comply with laws governing rental restrictions, including provisions of the Davis-Stirling Act that may limit certain rental prohibitions or restrictions, including how later-adopted rental restrictions apply to existing owners.
Are Applied Unfairly: If an HOA board of directors applies rental restrictions inconsistently, homeowners may have grounds for a dispute.

What to Do if Your HOA Is Restricting Rentals

If you are facing rental restrictions from your HOA, the following information may help you evaluate the issue:
Review the Governing Documents: Check the CC&Rs, bylaws, and HOA rules to determine what the rental restrictions are and whether the association followed the required adoption process.
Request Written Justification: A homeowner can request a written explanation of the rule and, where relevant, information about when and how it was adopted.
Consider Speaking With Legal Counsel: Some homeowners choose to consult legal counsel to better understand whether a restriction is likely enforceable under the governing documents and California law.
Communicate With the HOA: In some cases, rental disputes can be addressed through written communications with the board or management.
Consider Formal Dispute Resolution: Depending on the circumstances, a homeowner may consider internal dispute resolution (IDR), alternative dispute resolution (ADR), or—if appropriate—court proceedings.

Enforcement Actions: What to Do if Your HOA Threatens Fines or Legal Consequences

When a homeowner allegedly violates an HOA’s rental restrictions, the association may initiate an enforcement action. This can include notices, hearings, fines, or legal proceedings.
Common enforcement actions related to rental restrictions include:
Issuing fines for unauthorized rentals: Associations that levy monetary penalties generally must follow the notice and hearing requirements in the Davis-Stirling Act, and fines are typically based on an adopted fine schedule.
Threatening legal action: In some cases, an HOA may attempt to take legal steps to enforce its governing documents, such as seeking compliance through the courts. (Eviction of a tenant is generally pursued by the owner/landlord, though an association may seek court orders relating to rule compliance.)
Selective enforcement of rules: If an HOA applies rental restrictions inconsistently, homeowners may have grounds to raise a dispute.

Alternative Dispute Resolution for Rental Disputes

Not all disputes with HOAs need to result in litigation. Many conflicts can be addressed through alternative dispute resolution (ADR) methods such as mediation or arbitration.
Mediation: A neutral third party facilitates discussions between the homeowner and the HOA to reach a resolution.
Arbitration: A neutral arbitrator hears both sides and issues a decision, which may be binding depending on the agreement and the applicable rules.
Negotiation: In some cases, legal counsel can communicate with the board of directors to address disputed rental restrictions.

When Homeowners Consider Legal Help

If rental restrictions raise questions about enforceability, proper adoption, or compliance with California law, some homeowners consider speaking with legal counsel to better understand the governing documents, applicable statutes, and available dispute-resolution processes.